Engineering a Win-Win: Collaborating to Cut Costs and Lead Times
Introduction
A global leader in heavy equipment manufacturing, sought innovative ways to reduce the cost of wire harness routing aids in their panels. The Purchasing & Engineering team was looking for significant savings and lead-time reductions while maintaining product quality.
Challenges
The manufacturer needed to reduce part costs, particularly the high costs associated with Routing Aids for wire harnesses. These aids, traditionally individual welded components, were driving up production expenses and extending lead times. The company was eager to identify VAVE (Value Analysis/Value Engineering) opportunities to optimize this specific application and others like it.
Solution
KMC proposed an innovative solution: replacing the welded Routing Aids with an integrated Bridge Lance feature stamped in a punch/laser combo machine. This eliminated six separate components and the welding process, significantly streamlining production and cutting costs.
Key benefits of the solution included:
- Lower part costs by eliminating separate components and welding
- Shorter lead times due to the elimination of welding operations
- Reduced risk of assembly errors (such as missing Routing Aids)
- Flexibility to apply the same concept across multiple sub-assemblies for ongoing savings
Conclusion
The results of KMC’s collaboration were immediate and measurable:
- Eliminated the need for a $3,500 weld fixture
- Achieved annual savings of $10,000 by reducing part cost by $10 each
- Cut production lead time by four weeks, accelerating assembly timelines
In addition to these tangible savings, the Bridge Lance solution opened doors for applying similar cost-saving designs to other sub-assemblies, amplifying long-term value. KMC’s proactive, customer-focused approach—paired with innovative engineering—not only addressed the manufacturer’s immediate challenges but also laid the foundation for ongoing collaboration and future efficiencies.
